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Propertymark calls for change of thinking in property licencing

Propertymark has responded to additional and selective licencing consultations over the summer from Enfield, Reading, Gateshead and Wandsworth, and has called for a general rethink of local licencing schemes ahead of the creation of a digital private rented sector database.

The trade body has also responded to a consultation from the London Borough of Lambeth on a proposal to introduce Article 4 Directions for small Houses of Multiple Occupation (HMOs).

Lambeth’s proposal will effectively mean that landlords will no longer have permitted development rights and will be required to seek planning permission to convert dwellinghouses into small HMOs in the Common & Vale and Streatham St Leonard’s area of the borough.

However, Propertymark has argued that the proposal could have a damaging impact on rent levels, the supply of affordable housing, and will do little to improve HMO property conditions. Additionally, concern was raised over the supply of student accommodation and the impact on the local economy.  

On the overall issue of property licencing, Propertymark argued that licencing schemes are a blunt instrument in improving standards with many compliant letting agents and their landlords paying fees, leaving rouge landlords and agents to operate under the radar whilst valuable council resources are consumed by administration of the schemes.

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